Outline of Interim Financial Results

Transcription

1 Outline of Interim Financial Results Ended September 30, 2014 October, 2014 Note: The Company's fiscal year (FY) is from April 1 to March 31of the following year. FY2014 represents the fiscal year begun in April 1, 2014, and ended in March 31, st half (1H) represents six months period ended September 30,2014.

2 Table of Contents Summary of Financial Results <1> 1 Summary of Financial Results <2> 2 Electricity Sales Volume 3 Generated and Received Power 4 Non-consolidated Statements of Income <1> 5 Non-consolidated Statements of Income <2> 6 Non-consolidated Statements of Income <3> 7 Consolidated Statements of Income 8 Segment Information 9 Consolidated Financial Standing 10 Consolidated Statements of Cash Flows 11 Summary of Forecast for FY Non-consolidated Forecast for FY 2014 (compared to FY 2013) 13 The Policy on the Shareholder Return 14

3 Summary of Financial Results <1> 1 [Consolidated] d] -Operating revenues increased for five consecutive years since 1H of FY We recorded an ordinary income and net income. (The first time in four years after 1H of FY2010) (Billion yen,%) 2014/1H 2013/1H Operating revenues 1, , Operating income (loss) 69.5 (11.9) 81.5 Ordinary income (loss) 38.4 (27.0) 65.5 Net income (loss) 46.1 (16.7) 62.9 [Non-Consolidated] (Billion yen,%) 2014/1H 2013/1H Operating revenues 1, , Operating income (loss) 63.8 (19.2) 83.1 Ordinary income (loss) 30.7 (32.0) 62.8 Net income (loss) 40.6 (18.0) 58.7 [Principal Figures] Item 2014/1H 2013/1H (A) (B) (A-B) Electricity sales volume (TWh) (1.6) CIF price: crude oil ($/b) 109.5* FX rate (interbank) (yen/$) * CIF crude oil price for 2014/1H is tentative.

4 Summary of Financial Results <2> 2 < Main factors for year-on-year change in Consolidated ordinary income (loss) > -Positive factors - Influence of electricity rates increase billion yen /1H Fuel cost adjustment charge billion yen -Negative factor - An increase in fuel price billion yen - A decrease of electricity sales volume,etc billion yen Factors for change in Consolidated ordinary income (loss) 90.0 ( Billion Yen) /1H Fuel cost adjustment charge An increase in fuel price A decrease of electricity sales volume, etc /1H Ordinary Loss Influence of electricity rates increase PrincipalFigures (yen/$,$/b) FX rate: +4 (99 103) CIF price (crude oil): +1.8 ( ) 2014/1H Ordinary Income

5 Electricity Sales Volume 3 <Demand from customers under regulation> -Electric lighting Dropped by 6.0% to 15.2TWh, compared with 2013/1H,due to a decrease in air conditioning demand by lower temperature in this summer and customer's power saving effect. -Electric power Dropped by 6.8% to 2.8 TWh, due to a decrease in air conditioning demand affected by lower temperature. <Demand from customers under liberalization> -Commercial power Dropped by 3.6% to 11.0 TWh, due to a decrease in air conditioning demand affected by temperature. -Industrial power Amounted to 32.2TWh, almost the same as in 2013/1H,due to a decrease of production in the other industry, in spite of increase of production in the machine industry. Demand from customers under regulation Demand from customers under liberalization (TWh %) 2014/1H 2013/1H Electric lighting (1.0) (6.0) Electric power (0.2) (6.8) Subtotal (1.2) (6.1) Commercial power (0.4) (3.6) Industrial power,etc <Large-lot Demand> <26.1> <26.1> <0.0> <0.3> Subtotal (0.4) (0.9) Total (1.6) (2.5)

6 Generated and Received Power 4 -Hydro Thanks to higher water flow, hydro power output increased by 0.2TWh. (flow rate for 2014/1H:93.5%, 2013/1H:88.6%) -Interchanged, purchased Power Decreased by 1.5 TWh, due to an increase in supply of interchanged power to other power utilities. -Thermal As a result above, thermal power output decreased by 1.0 TWh. (TWh %) 2014/1H 2013/1H Hydro <flow rate> <93.5> <88.6> <4.9> Internally Thermal (1.0) (1.7) generated Nuclear <utilization rate> < > < > < > Renewable energy (0.0) 0) (30.1) Interchanged, Purchased power (1.5) (25.5) Power used for pumped storage (0.5) (0.7) 0.2 (30.5) Total (2.1) (3.0)

7 Non-consolidated Statements of Income <1> 5 (Billion yen, %) 2014/1H 2013/1H [Major factors for ] Electricity sales revenues 1, , Influence of electricity rates increase Sold power to other electric utilities, and transmission /1H fuel cost adjustment charge A decrease of electricity sales revenues, etc. Grant under Act on Purchase of Renewable volume An increase in revenues from Energy Sourced Electricity interchanged power sales An increase in sold power to Others other electric utilities Electric utility operating revenues 1, , An increase in purchase of renewable energy sourced electricity Incidental lbusinesses operating revenues An increase in gas supply business Total operating revenues 1, , Rounded down to nearest 100 million yen.

8 Non-consolidated Statements of Income <2> 6 (Billion yen, %) 2014/1H 2013/1H Salaries and employee benefits (3.9) (4.2) Fuel [Major factors for ] - Thermal : A decrease in consumption volume : An Increase in fuel price : Nuclear back-end expenses Purchased power, and transmission charges, etc An increase in purchase of renewable energy sourced electricity Maintenance Depreciation (1.3) (1.1) Taxes other than income taxes Levy under Act on Purchase of Renewable Energy Sourced Electricity An increase in replacement of aged distribution facilities An increase in purchase of renewable energy sourced electricity Others (12.7) (12.3) Electric utility operating expenses Incidental business operating expenses 1, , An increase in gas supply business Total operating expenses 1, , Rounded down to nearest 100 million yen.

9 Non-consolidated Statements of Income <3> 7 Operating income (loss) (Billion yen, %) 2014/1H 2013/1H 63.8 (19.2) 83.1 [Major factors for ] Electricity business Incidental business Non-operating revenues (3.9) (35.7) Non-operating expenses Ordinary revenues 1, , Ordinary expenses 1, , Ordinary income (loss) 30.7 (32.0) 62.8 Reserve for fluctuation in water levels (2.9) (7.9) 5.0 Receipt of compensation Extraordinary income related to the deficiency of the Company's facilities Income taxes Net income (loss) 21.5 (6.0) (18.0) 58.7 Rounded down to nearest 100 million yen.

10 Consolidated Statements of Income 8 Revenue es Operating inco oome (loss) (Billion yen, %) 2014/1H 2013/1H s Electricity business 1, , Other business , , Electricity business 63.4 (13.9) 77.4 Other business (11.9) 81.5 Ordinary income (loss) 38.4 (27.0) 65.5 Reserve for fluctuationin water levels (2.9) (7.9) 5.0 Extraordinary income Income taxes 23.0 (3.0) 26.0 Minority interests in income (0.0) (8.7) Nti Net income (loss) 46.1 (16.7) 62.9 Internal transactions were cancelled. Rounded down to nearest 100 million yen.

11 Segment Information /1H 2013/1H (Billion yen,%) s Electricity business 1, , Rev venues Other business <Energy business> <54.0> <39.1> <14.9> <38.3> <Other business> <84.2> <81.3> <2.8> <3.5> 1, , Electricity business 62.2 (17.6) 79.9 (loss) Operati ing income Other business <Energy business> <3.3> <(1.0)> <4.4> < > <Other business> <(3.0)> <6.8> <(3.7)> <(55.4)> Cancellation for Internal transaction (between segments etc.) 0.8 (0.0) (11.9) 81.5 Each segment operating income is before canceling internal transaction. Rounded down to nearest 100 million yen.

12 Consolidated Financial Standing 10 -Assets Decreased by billion yen from the end of FY2013, because of a decrease in noncurrent assets due to progress in depreciation, and also a decrease in current assets due to a reduction in short-term investment. -Liabilities Decreased by billion yen from the end of FY2013, due to a decrease in interest-bearing debts. -Net assets Increased by 40.6 billion yen from the end of FY2013, due to net income. (Billion yen) 30 Sep Mar (A) (B) (A-B) Assets 5, ,782.1 (122.4) Liabilities 4, ,345.0 (163.0) Net assets 1, , Shareholders' equity ratio Outstanding interest-bearing debt (Billion yen, %) <23.2> <22.0> <1.2> 3, ,260.0 (191.4) <3,108.4> <3,294.6> <(186.1)> 1) Non-consolidated figures in angle brackets. Rounded down to nearest 100 million yen.

13 Consolidated Statements of Cash Flows 11 -Cash flows from operating activities. Increased by billion yen from the previous year, mainly because electricity utility operating revenue increased due to the electricity rates increase and an increase in fuel cost adjustment charge. - Cash flows from investment cash flows Increased by 1.4 billion yen from the previous year, because payments for investments and other long-term assets exceeded proceed from investments and other long-term assets in the current fiscal year, although purchase of noncurrent assets decreased. (Billion yen) 2014/1H 2013/1H (A) (B) (A-B) Cash flows from operating activities (a) Cash flows from investment activities (b) (129.1) (127.7) (1.4) Cash flows from financing activities (192.8) (5.0) (187.8) Free cash flows (a+b) 66.3 (75.1) Sep Mar (A) (B) (A-B) Cash and cash equivalents at end of period (125.8) Rounded down to nearest 100 million yen.

14 Summary of Forecast for FY Consolidated d (billion yen) FY 2014 forecast (Current) FY 2014 forecast (July 31) (A) (B) (A)-(B) Operating revenues 3, , Operating income Ordinary income Net income Non-consolidated (billion yen) FY 2014 forecast FY 2014 forecast (Current) (July 31) (A) (B) (A)-(B) Operating revenues 2, , Operating income Ordinary income Net income Principal figures Items FY 2014 forecast FY 2014 forecast (Current) (July 31) (A) (B) (A)-(B) (B) (billion yen) Income sensitivity Electricity sales volume (TWh) approx approx approx.(0.6) 1% 4.0 CIF price: crude oil ($/b) approx. 107 approx. 110 approx. (3) 1$/b 10.0 *1,2 FX rate (interbank) (yen/$) approx. 107 approx. 102 approx. 5 1yen/$ 12.0 *1 *1 These figures represent income sensitivity for fuel expenses. Fluctuation of CIF price (crude oil) and FX rate will be reflected in sales revenue, in cases where average fuel price fluctuates, fuel cost adjustment system will be applied. *2 The impact value of crude oil price includes the impact of LNG price because LNG price is subject to crude oil price.

15 Non-consolidated Forecast for FY 2014 (compared to FY 2013) (Billion yen) Operating revenues Operating expenses Operating income (loss) Ordinay income (loss) Net income(loss) FY 2014 Forecast FY 2013 Result (A) (B) (A)-(B) 2, ,638.2 approx , ,715.4 approx (77.2) approx (104.1) approx (67.2) approx Principal figures Items FY 2014 FY 2013 (Forecast) (A) (Result) (B) (A)-(B) Electricity sales volume (TWh) approx approx.(2.2) CIF price: crude oil ($/b) approx approx. (3) FX rate (interbank) (yen/$) approx approx. 7

16 The Policy on Shareholder Return 14 - Dividend Forecast - The Company has been endeavoring to improve profitability by implementing an electric rate hike and enhancing the company-wide management efficiency. However, taking into consideration the future fluctuations of profitability and the necessity to put further efforts into more management efficiency as well as reinforce the damaged financial base, the Company has decided to pay no interim dividend for FY The Company has not yet decided forecast year-end dividend since it is difficult to foresee the future situation with certain accuracy and rationality. Dividends per Share (yen) Interim Year-end Total FY 2014 (Forecast) 0 FY 2013 (Result) Dividends of FY 2014 ending March 2015 has not yet been decided.

17 DISCLAIMER This presentation ti contains assumptions and forward-looking statements t t with respect to the financial conditions, and forecasts of the company, which are based on information currently available. These assumptions involve certain risks and uncertainties, and may cause actual results materially differ from them, by changes in the managerial environment such as economic activities and market trends. Though great care is exercised in the preparation of such literature, Chubu Electric Power Co., Inc. shall not be liable in any manner for any loss whatever incurred as a result of erroneous information contained therein or in this presentation.